Raw Milk Production and Marketing are flourishing in China

According to monitoring by MOA, both raw milk production and sales are booming in the first half of 2019.
(1) Raw milk production continued to increase.
According to monitoring, the output of raw milk in the first half of this year was 10.264 million tons, an increase of 5.2% year-on-year. The concentration ratio of northern superior production areas was further increased, among which the output of raw milk in Hebei, Inner Mongolia, Shandong, Heilongjiang and Ningxia accounted for 63.6 percent of the total national output, 1.2 percentage points higher than the previous year.
 
 
(2) Dairy cattle inventory decline slowed.
According to the monitoring, the inventory of holstein cows in the first half of this year was basically stable. At the end of June, the inventory of holstein cows nationwide was 4.54 million, down 3.8 percent year on year and 1.1 percent compared with the beginning of the year. In terms of regions, dairy farming is mainly concentrated in the north. The total amount of dairy cows in Hebei, Inner Mongolia, Shandong, Heilongjiang and Ningxia accounts for 61.7%.
(3) The process of standardized scale farming was accelerated.
According to the monitoring, by the end of June, there were 144 dairy cows per household, up 10.8% year-on-year. There were 422 dairy cows per household in Hebei, Inner Mongolia, Shandong, Heilongjiang and Ningxia, an increase of 22% year-on-year.
(4) The per unit yield of dairy cows continues to improve.
At the end of June, holstein cows nationwide produced an average of 7.7 tons, 0.2 tons more than in 2018.
(5) The price of raw milk increased
The average price of raw milk in the first half of this year was 3.74 yuan/kg, up 4.2% year-on-year. In the first half of the year, raw milk prices continued the seasonal trend of decline, but this year's price inflection point to advance to April. In April, the average price of raw milk was 3.68 yuan/kg, rising steadily. In June, the average price of raw milk was 3.72 yuan/kg, up 0.8% month-on-month and 5.1% year-on-year.
(6) Breeding benefits increased.
With the increase of yield and raw milk price, profit of farms increased. In the first half of this year, the profit was 0.48 yuan/kg in fixed scale farm monitoring, which was 3,691 yuan/head in terms of 7.7 tons per unit yield, an increase of 1,591 yuan over the same period of last year, and the benefit of farming gradually recovered.
In the second half of the year, with the introduction and implementation of relevant supporting policies on the revitalization of dairy industry by the state and local governments, the overall situation of dairy farming will get better, with raw milk production increasing steadily, dairy cattle inventory stable, the herd structure optimized, and raw milk price rising.